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# How does Round Trailing work for Revenue distribution?

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10-11-2017 10:01 AM

I am using the revenue rule Daily Over Time. How does Round Trailing work for revenue distribution?

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## Re: How does Round Trailing work for Revenue distribution?

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10-11-2017 10:09 AM

**Round Trailing only applies to the revenue rules: **

**Daily over time and Monthly Recognition over time**

Rounding rules determine how to handle any remaining revenue amounts. The following options are available:

**Round trailing:**Calculate the remaining revenue amount. Starting on the last day of the recognition period and working back in time, add $0.01 per day until the remaining amount is consumed.

**Round last:**Calculate the remaining revenue amount. Add the remaining amount to the last day of the recognition term.

Suppose you have revenue of $135.33 that is recognized daily over a 90 day period, where the daily recognized revenue amount is $1.50 after rounding:

**Amount:**$135.33**Recognition term:**1/1/2013 through 3/31/2013 (90 days)**Remaining amount**: $0.33 =`$135.33 - [90 days * ( $135.33 / 90 days), rounded]`

The following example shows how each rounding rule handles the remaining $0.33:

Round Trailing Rule | Amount | Explanation |
---|---|---|

January Accounting Period | $0.00 | No remaining amount is available to add to this accounting period |

February Accounting Period | $0.02 | $0.01 per day is added to the last two days of the accounting period |

March Accounting Period | $0.31 | $0.01 per day is added to this accounting period, which is in this case is 31 days for the month of March. |

Round Last Rule | Amount | Explanation |
---|---|---|

January Accounting Period | $0.00 | N/A |

February Accounting Period | $0.00 | N/A |

March Accounting Period | $0.33 | The whole remaining amount is added to the last day of the recognition term which falls in the Marching accounting period. |

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